request for proposals - cnlopb.ca · 6.0 contents of a proposal .....8 7.0 evaluation methodology...

Request for Proposals

Strategic Environmental Assessment Update Labrador Shelf Offshore Area

November 10, 2017

Canada-Newfoundland and Labrador Offshore Petroleum Board Request for Proposals Labrador Shelf Offshore Area Strategic Environmental Assessment Update

Closing Date: December 8, 2017

12:00 pm Newfoundland Time

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Table of Contents

1.0 Introduction ....................................................................................................................1

2.0 Objective of the Work ....................................................................................................3

3.0 Scope of Work ...............................................................................................................4

4.0 Reporting and Scheduling ..............................................................................................6

5.0 Deliverables ...................................................................................................................6

6.0 Contents of a Proposal ...................................................................................................8

7.0 Evaluation Methodology and Contract Selection Method .............................................8

7.1 Rated Criteria for Technical Proposal........................................................................ 8

7.2 Cost Proposal Content................................................................................................ 9

7.3 Evaluation Criteria ................................................................................................... 10

8.0 Submission of Proposals ..............................................................................................10

9.0 Terms and Conditions ..................................................................................................12

9.1 Selection ................................................................................................................... 12

9.2 Liability for Costs .................................................................................................... 12

9.3 Interpretation ............................................................................................................ 12

9.4 Governing Law ........................................................................................................ 12

9.5 Confidentiality ......................................................................................................... 12

9.6 Amendment or Cancellation .................................................................................... 13

10.0 Contract for Services....................................................................................................13

10.1 Parties ....................................................................................................................... 13

10.2 Estimated Contract Award Date .............................................................................. 14

10.3 Contract Completion Date ....................................................................................... 14

10.4 Method of Payment .................................................................................................. 14

10.5 Pre-Contract Costs ................................................................................................... 14

11.0 Validity of Proposal .....................................................................................................14

12.0 Supporting Documentation and Presentation...............................................................14

13.0 Conflict of Interest .......................................................................................................15

14.0 Pre-Submission Inquiries .............................................................................................15

15.0 Requests for Information .............................................................................................15

Appendix A - SEA Update Labrador Shelf Offshore Area - Final Scoping Document

Appendix B - Contract for Consulting Services (Draft)


Closing Date: December 8, 2017 12:00 p.m. Newfoundland Time

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1.0 Introduction

The Canada-Newfoundland and Labrador Offshore Petroleum Board (C-NLOPB) requests proposals for the completion of a Strategic Environmental Assessment Update (the SEA Update) for the Labrador Shelf Offshore Area as described in Figure 1 (the SEA Update Area). This request is herein referred to as the Request for Proposals (RFP). The C-NLOPB is responsible, on behalf of the Government of Canada and the Government of Newfoundland and Labrador, for the regulation of petroleum exploration and production activities in the Canada-Newfoundland and Labrador (CAN-NL) Offshore Area (the Offshore Area1). Since 2002, the C-NLOPB has been undertaking SEAs of areas in which the issuance of Exploration Licences (ELs) could be contemplated, excepting those areas that have already been subject to substantial levels of assessment. Strategic environmental assessment is a broad-based approach to Environmental Assessment (EA) that examines the environmental effects which may be associated with a plan, program or policy proposal and that allows for the incorporation of environmental considerations at the earliest stages of program planning. SEA typically involves a broader-scale environmental assessment that considers the larger ecological setting, rather than a project-specific EA that focuses on site-specific issues with defined boundaries. Additional information regarding SEA may be found on the Canadian Environmental Assessment Agency web site at: http://www.ceaa-acee.gc.ca. The “strategic decision” informed by the results of a SEA is the potential issuance of ELs for marine areas within the Offshore Area. In this particular case, the SEA Update, building upon the August 2008 Strategic Environmental Assessment – Labrador Shelf Offshore Area (see http://www.cnlopb.ca/sea/labrador.php), will consider petroleum-related activities that may occur in the Offshore Area if one or more ELs are issued. An EL confers:

1. The right to explore for, and the exclusive right to drill and test for, petroleum; 2. The exclusive right to develop those portions of the Offshore Area in order to

produce petroleum; and 3. The exclusive right, subject to compliance with the other provisions of the Accord

Act, to apply for a production licence.

1 The term ‘offshore area’ refers to the jurisdictional area of the C-NLOPB, as defined in the Canada-Newfoundland and Labrador Atlantic Accord Implementation Act to mean “those submarine areas lying seaward of the low water mark of the Province and extending, at any location, as far as (a) any prescribed line, or (b) where no line is prescribed at that location, the outer edge of the continental margin or a distance of two hundred nautical miles from the baselines from which the breadth of the territorial sea of Canada is measures, whichever is greater.”

http://www/

http://www.cnlopb.ca/sea/labrador.php



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Figure 1 - SEA Update Area

Activities associated with ELs may include: conduct of seismic surveys, other geophysical surveys, geotechnical surveys; drilling of wells (either exploration or delineation), well testing; and well abandonment. If one or more exploratory drilling programs successfully identify petroleum deposits with commercial potential, production activities may follow. Production activities may involve: drilling of wells (e.g. delineation development/production, and injection wells, well testing activities such as flaring; installation of subsea equipment; installation and operation of production facilities; and production abandonment activities). However, the nature and scale of potential production activities is usually very difficult to predict in the early stages of exploration in an area, in any but the most general of terms. Each of these activities requires the specific approval of the C-NLOPB, including a project-specific assessment of its associated environmental effects, either in accordance



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with the Canadian Environmental Assessment Act 2012 (CEA Act), or the Accord Acts. The SEA does not replace this requirement for a project-specific EA. However, the SEA Update will provide an overview of the existing environment; discuss in broader terms the potential environmental effects associated with offshore oil and gas activities in the SEA Update Area; incorporate Traditional Knowledge (TK) and describe current and historical occupational uses of the SEA Update Area by Labrador indigenous groups; identify the potential risks associated with different stages of exploration; identify knowledge and data gaps; highlight issues of concern; and make recommendations for mitigation, planning and addressing knowledge and data gaps (eg. information from offshore activity and scientific research). Information from the SEA Update will assist the C-NLOPB in determining whether exploration rights should be offered for an area, and may also identify general restrictive or mitigative measures that should be considered for application to exploration activities. A Working Group was established in May 2016 to assist in the conduct of the SEA Update. The Working Group is co-chaired by the C-NLOPB and the Nunatsiavut Government and consists of members representing federal and provincial government agencies, indigenous organizations, fishing interest groups, academia, industry, and non-governmental organizations. The Working Group assisted in the preparation of a Scoping Document for the conduct of the SEA Update, and will assist the C-NLOPB in the development of the SEA Update report.

2.0 Objective of the Work

To undertake an update of the 2008 SEA of offshore oil and gas exploration and production activities, in accordance with the Strategic Environmental Assessment Update Labrador Shelf Offshore Area Scoping Document (Appendix A). The chosen area of focus, the SEA Update Area, as identified in Figure 1, includes all marine waters east of the low water mark, including the Zone2, out to the seaward limit of the area under the jurisdiction of the C-NLOPB. For clarity, the area commonly referred to as the “Lake Melville Area” will only include that portion of the Zone extending from the mouth of Lake Melville seaward in the Offshore Area. The eastern limits of the original SEA Area have been extended in the southern portion to the full extent of Canada’s continental shelf claim beyond 200 nautical miles from the territorial sea baselines, outside the limit of the 2008 SEA but now included in the SEA Update. Areas defined in the SEA Update Area beyond the 200 nautical mile limit are part of Canada’s 2013 partial submission to the Commission for the Limits of the Continental Shelf (CLCS). The Extended Continental Shelf area delineated in Canada’s submission

2 The Zone and Area Adjacent to the Zone are defined in the Labrador Inuit Land Claims Agreement.



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should be considered preliminary and subject to change pending recommendation from the CLCS and the resolution of overlapping delineations with neighbouring nations. Within the Labrador Shelf Offshore Area, the Nunatsiavut Government has certain duties and powers, as defined by the Labrador Inuit Land Claims Agreement, in The Zone and in the Area Adjacent to the Zone. It is also noted that although land claims agreements are not presently settled with the Innu Nation and the NunatuKavut Community Councils, their people are very much connected to the land and waters offshore of their traditional territories. These territories fall within the Labrador SEA Update boundaries and it is anticipated that both Indigenous groups will have resolved agreements within the foreseeable future.

3.0 Scope of Work

The Contractor will complete the following tasks: 1. Prepare a Consultation Plan for consideration by the Working Group regarding the

planning and scheduling of consultation sessions.

2. With input from the Nunatsiavut Government, the Innu Nation and NunatuKavut, prepare a Traditional Knowledge Plan for consideration by the Working Group regarding the planning and scheduling of TK gathering.

3. Prepare a SEA Update Report (DRAFT 1), Summary Report (DRAFT 1), Traditional Knowledge Report (DRAFT 1) and Consultation Report (DRAFT 1) based on the Scoping Document (Appendix A). Community consultations, TK gathering, and targeted stakeholder engagement will be required in the appropriate language (i.e. English, Inuktitut, and Innu-aimun). a) Gather and document TK for inclusion in the Traditional Knowledge Report

(DRAFT 1). The contractor will be expected to liaise closely with representatives of the Nunatsiavut Government, the Innu Nation, and NunatuKavut in the planning and conduct of TK collection from individuals and/or groups of those organizations. The collection of TK will be concurrent with the preparation of the SEA Update Report (DRAFT 1) and the results shall be incorporated into the relevant sections of the SEA Update Report (DRAFT 1). The Nunatsiavut Government intends on collecting Traditional Knowledge within the communities of Nunatsiavut and will work with the contractor to ensure that data collection is done using similar techniques.

b) Undertake public consultation sessions with community groups, Aboriginal groups, fishers, fish processors, interested stakeholders and government agencies to solicit input into the SEA Update Report (DRAFT 1) and identify issues and concerns relating to potential oil and gas activity in the Study Area. These consultation sessions are to be held in coastal communities adjacent to the SEA



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Update Area and will be concurrent with the preparation of the SEA Update Report (DRAFT 1). At a minimum, the Contractor should be prepared to conduct public open house consultation sessions in communities visited during the conduct of the 2008 SEA Report. The final list of communities will be determined during development of the Consultation Plan. The Contractor will consult with the Working Group regarding the planning and scheduling of these consultation sessions. Information gathered during the consultation sessions, as well as issues and concerns, shall be documented in the Consultation Report (DRAFT 1) and incorporated into the relevant sections of the SEA Update Report (DRAFT 1).

4. Prepare and submit a revised SEA Update Report (DRAFT 2), Summary Report (DRAFT 2) (in English, Inuktitut, and Innu-aimun), Traditional Knowledge Report (DRAFT 2) and Consultation Report (DRAFT 2) based on review comments from the Working Group. The second draft of these four reports will be made available for a wider public and regulatory review period (the Comment Period).

5. Prepare for, coordinate, and manage public consultation sessions in designated communities in Labrador during the Comment Period to solicit input on the SEA Update Report (DRAFT 2), Summary Report (DRAFT 2), Traditional Knowledge Report (DRAFT 2) and Consultation Report (DRAFT 2). Community consultations and targeted stakeholder engagement will be required in the appropriate language (i.e. English, Inuktitut, and Innu-aimun). At a minimum, public open house consultation sessions are to be held in the same communities visited during the conduct of the 2008 SEA Report which included sessions in Nain, Natuashish, Hopedale, Postville, Makkovik, Happy Valley-Goose Bay, Mary’s Harbour, Port Hope Simpson, Cartwright, and Rigolet. The final list of communities will be determined during development of the Consultation Plan. The Contractor will consult with the Working Group regarding the planning and scheduling of these consultation sessions.

6. Following the close of the Comment Period and the timeline identified in Section 4.0 #5 below, prepare a revised SEA Update Report (DRAFT 3), Summary Report (DRAFT 3), Traditional Knowledge Report (DRAFT 3) and Consultation Report (DRAFT 3) for review and comment by the Working Group incorporating review comments and any additional information, including TK, collected at the consultation sessions. Draft 3 of these reports shall be accompanied by a Table of Concordance indicating how comments were addressed.

7. Prepare a Final SEA Update Report, Final SEA Update Summary Report (in English, Inuktitut, and Innu-aimun), Final Traditional Knowledge Report and Final Consultation Report incorporating any final comments by C-NLOPB and the Working Group upon review of draft 3 of these reports.



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4.0 Reporting and Scheduling

All work will be reported to the C-NLOPB as contract authority. The following schedule and reporting requirements must be followed. 1. Initial meeting with the Working Group within 3 working days immediately

following award of contract. The meeting shall be held at the C-NLOPB office in St. John’s by conference call.

2. Consultation Plan and Traditional Knowledge Plan to be submitted no later than 4 weeks following award of contract. Meeting to follow in Happy-Valley Goose Bay, Labrador with Working Group to discuss plans.

3. DRAFT 1 of the SEA Update Report, the Summary Report, the Traditional Knowledge Report and the Consultation Report to be submitted no later than 16 weeks following award of contract.

4. DRAFT 2 of the SEA Update Report, the Summary Report (in English, Inuktitut, and Innu-aimun), the Traditional Knowledge Report and the Consultation Report to be submitted no later than 4 weeks following receipt of comments from C-NLOPB on DRAFT 1 of those reports (DRAFT 2 will be made available for Comment Period).

5. Meeting with Working Group members to review submitted comments on DRAFT 2 documents. Meeting to be held in Happy-Valley Goose Bay, Labrador within 2 weeks following close of the Comment Period.

6. DRAFT 3 of the SEA Update Report, the Summary Report, the Traditional Knowledge Report and the Consultation Report to be submitted no later than 4 weeks following the meeting referred to in item 5 for final review.

7. Final SEA Update Report, Final SEA Update Summary Report (in English, Inuktitut, and Innu-aimun), Final Traditional Knowledge Report and Final Consultation Report to be submitted no later than 1 week following receipt of comments on DRAFT 3 documents.

It is expected that the contractor will work closely with the C-NLOPB and the Nunatsiavut Government in the conduct of this project.

5.0 Deliverables

Note – for the following, the actual number of copies will ultimately depend on circulation of the 3 Drafts of the SEA Update Report and the Final SEA Update Report documents. The final number of paper copies of any DRAFT will depend on feasibility of distributing electronic copies. The following is an estimate for Proposal purposes. With reference to Section 3.0 Scope of Work, the following copies of the Consultation Plan, Traditional Knowledge Plan, Traditional Knowledge Report, Summary Report, Consultation Report and SEA Update Report are required to be costed in the Proposal.



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Consultation Plan and Traditional Knowledge Plan

21 colour, double-sided printed copies of each Plan

1 electronic copy in MS Word format (any one file cannot exceed 5MB, and all figures must be embedded in the MS Word Document)

21 electronic copies in PDF format

DRAFT 1: 21 colour, double-sided printed copies of the SEA Update Report

(DRAFT 1), the Summary Report (DRAFT 1), the Traditional Knowledge Report (DRAFT 1) and the Consultation Report (DRAFT 1)

1 electronic copy in MS Word format (any one file cannot exceed 5MB, and all figures must be embedded in the MS Word Document)

21 electronic copies in PDF format (of each of the foregoing reports) DRAFT 2:

35 colour, double-sided printed copies of the SEA Update Report (DRAFT 2), the Summary Report (DRAFT 2) (in English, Inuktitut, and Innu-aimun), the Traditional Knowledge Report (DRAFT 2) and the Consultation Report (DRAFT 2)

1 electronic copy in MS Word format (any one file cannot exceed 5 MB and all figures must be embedded in the MS Word Document)

35 electronic copies in PDF format (of each of the foregoing reports) DRAFT 3:

21 colour, double-sided printed copies of the SEA Update Report (DRAFT 3), the Summary Report (DRAFT 3), the Traditional Knowledge Report (DRAFT 3) and the Consultation Report (DRAFT 3)


21 electronic copies in PDF format (of each of the foregoing reports)

Final Reports: 30 colour, double-sided printed copies of Final SEA Update Report

Final Summary Report (in English, Inuktitut, and Innu-aimun), Final Traditional Knowledge Report and Final Consultation Report (DRAFT final Summary Report


30 electronic copies in PDF format (of each of the foregoing reports)



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6.0 Contents of a Proposal

Bidders must submit a Proposal (consisting of a Technical Proposal and a Cost Proposal) addressing all requirements in this RFP and based upon the Scoping Document annexed as Appendix A. Any Proposals which do not address all requirements of this RFP will be deemed non-compliant and rejected. The Proposal should be concise and must address all criteria listed in Section 7.0. These criteria will be used to evaluate the relative merits of each Proposal. The Proposal therefore should address the criteria in sufficient detail to permit a complete evaluation. Items not addressed will be given a score of zero. Bids must be submitted in the format requested.

7.0 Evaluation Methodology and Contract Selection Method

Proposals will be evaluated against the following rated criteria. In order to be considered compliant, a Proposal must achieve the minimum ratings identified. The successful Bidder will be selected on the basis of 20% weight to Cost Proposal, 80% weight to Technical Proposal. A Technical Proposal must achieve the minimum pass mark established for each of the rated criteria sections identified herein.

7.1 Rated Criteria for Technical Proposal

In order to be considered compliant, Proposals must achieve a minimum rating of 75% or better under each of the three (3) rated criteria sections. Those Proposals failing to achieve the required ratings will be considered non-compliant and will not be considered for award of contract.

Section 1 Approach and Methodology Available Points 60 Required Pass Mark 45 1. The Bidder should demonstrate a clear understanding of the project, its objectives

and the purpose for conducting the work. 2. The Bidder should provide a detailed account of recently completed projects of a

similar scope and nature, including the methodology which was used to achieve objectives, and, if applicable, explain any methodology changes being brought to the proposed approach. In particular, knowledge and experience in gathering and integrating Traditional Knowledge with specific reference to Labrador’s Indigenous groups should be highlighted.

3. The Bidder should provide a detailed account of the approaches/methodologies to be employed to undertake consultation sessions, (including any difficulties that could impact project schedule) and gather and incorporate Traditional Knowledge into the SEA Update Report.



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Section 2 Project Management

Available Points 15 Required Pass Mark 11.25 1. The Bidder should demonstrate the following:

a work breakdown structure, including a resource plan; organization of the project team; responsibility assignment of personnel; project management and control (time, cost, performance); project schedule showing start and completion dates as well as significant

project milestones, deliverables and estimated completion dates for each required task; and

assumptions made in the foregoing. 2. The Bidder should outline how it intends to keep the C-NLOPB informed of project

progress and apprise them of any evolving issues throughout the course of the project.

3. The Bidder should clearly indicate the member of the project team who will provide the status reports or identify evolving issues and how they will be communicated.

Section 3 Proposed Personnel Qualifications

Available Points 25 Required Pass Mark 18.75 1. The Bidder should identify the proposed project manager, including his/her role,

qualifications and experience, including experience in gathering and integrating TK. 2. The Bidder should identify key personnel assigned to the project and include their

resumes, detailing their roles and responsibilities in similar projects; including experience in gathering and integrating TK.

3. The Bidder should demonstrate the ability to substitute personnel with the same qualifications and experience or better in the event that person is unable to perform tasks (e.g., sickness, vacation) to maintain quality and project schedule. No substitutions shall take place without the prior written approval of the C-NLOPB.

7.2 Cost Proposal Content

The Cost Proposal shall contain:

A budget for each task, including a breakdown of fees, disbursements and person days.

All travel costs are to be included in the Cost Proposal, and must include a contingency for travel delay (e.g. weather).

The total cost of a proposal must be provided.



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7.3 Evaluation Criteria

Successful proposal will be highest total points established from combined Cost Proposal and Technical Proposal rating.

Weighting: Cost Proposal: 20% Technical Proposal: 80%. Highest score and lowest price receive full rated percentage and others pro-

rated accordingly. Technical Proposal: 100 points maximum, Proponent must achieve a minimum of

the Required Pass Mark in each of the 3 sections of 7.1.

EXAMPLE (for illustrative purposes only)

PASSING BIDS:

Bid 1 (points)

Bid 2 (points)

Bid 3 (points)

Proposal Rating 90 82.5 75

Price $ 100k $ 98k $ 92k

CALCULATIONS:

Bid 1: Full rating for highest points in Proposal = 80.0 Price Pro-rating (92/100) x 20% = 18.4

TOTAL = 98.4

Bid 2: Proposal pro-rating, (82.5/90) x 80% = 73.3 Price pro-rating, (92/98) x 20% = 18.7

TOTAL = 92.0

Bid 3: Proposal pro-rating (75/90) x 80% = 66.7 Full Rating for lowest bid = 20.0

TOTAL = 86.7 WINNER = BID 1

8.0 Submission of Proposals

Bidders must submit the following documents and copies as identified below. The Closing Date for the RFP is 12:00 pm Newfoundland time on December 8, 2017 (the Submission Closing Date).



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The Proposal must consist of the following. a) The Proposal should clearly state the name and address of the Bidder. b) 4 double-sided hard copies and 1 electronic copy of the Technical Proposal, which

meets the requirements set out above (the electronic copy file size must not exceed 5.0 MB).

c) Resumes/Curriculum Vitae must be submitted in a file separate from the Technical Proposals (file size must not exceed 5.0 MB).

d) 4 double-sided hard copies and 1 electronic copy (file size cannot exceed 5.0 MB) of the Cost Proposal which meets the requirements set out above. The Cost Proposal must be bound separate from the Technical Proposal.

e) All Proposals submitted in response to this RFP must be in a sealed envelope clearly marked as follows.

Request for Proposals Labrador Shelf Offshore Area Strategic Environmental Assessment Update

f) Sealed Proposals will be received by the C-NLOPB at the following address. Canada-Newfoundland and Labrador Offshore Petroleum Board Suite 101, TD Place 140 Water Street St. John’s, Newfoundland A1C 6H6 ATTENTION: Elizabeth Young

g) Proposals must be received at the above address prior to 12:00 pm on the Submission Closing Date. Proposals received after the time of closing will not be considered and will be returned unopened to the Bidder.

h) Proposals must be complete and legible and identify the Bidder’s name and address and supply all information as requested; incomplete or illegible Proposals are subject to rejection.

i) All questions or areas relating to the scope of work must be answered even if it is only to indicate that the item or service is not applicable.

j) Proposals must remain open to acceptance and are irrevocable for a period of 90 days after the Submission Closing Date.

k) All documents, materials, articles and information submitted by the Bidder as part of, or in support of a Proposal shall become upon submission, the property of the C-NLOPB and shall not be returned to the Bidder.

l) A Proposal that is submitted to the C-NLOPB by the Bidder in accordance with this RFP may be amended by a letter, provided the revision is received at the address above designated for the receipt of Proposals prior to the Submission Closing Date.



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9.0 Terms and Conditions

9.1 Selection

The selection of the successful Bidder will be at the sole discretion of the C-NLOPB. The C-NLOPB reserves the right to award the work to a Bidder whose Proposal may not represent the lowest overall cost. Issuing this RFP implies no obligation on the C-NLOPB to accept any Proposal in whole or in part.

All Bidders will be advised in writing of the success or otherwise of their

respective Proposals.

9.2 Liability for Costs

The C-NLOPB will not be liable in respect of any costs incurred by Bidders in the preparation of Proposals or any associated work effort. Bidders are responsible for their own expenses in preparing, delivering or presenting a Proposal and for subsequent negotiations with the C-NLOPB, if any. The C-NLOPB will not defray any costs incurred by a Bidder in responding to this RFP.

9.3 Interpretation

Any conflict of interpretation arising from differences between the wording used in this RFP and in any Proposal accepted shall be resolved by giving priority to this RFP and then to any conditions imposed by the C-NLOPB in writing when accepting this Proposal.

9.4 Governing Law

A Proposal may be subject to disclosure under the federal Access to Information Act. By submitting a Proposal, the Bidder agrees to the appropriate disclosure of the information supplied, subject to the provisions of the governing law.

The Bidder agrees to comply with all applicable laws, regulations and standards

of the Province of Newfoundland and Labrador, including all labour, occupational health and safety and worker’s compensation legislation.

9.5 Confidentiality

The C-NLOPB undertakes to use its best efforts to hold confidential any information provided to it by individuals or others on a confidential basis, subject



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to the C-NLOPB's obligations under law. If for any reason information provided to the C NLOPB should not be disclosed because of its sensitive nature, then it is incumbent upon the Bidder when supplying the information to make this clear and to specify the reasons for the information's sensitivity.

The successful Bidder and its respective staff may be required to sign a formal

confidentiality/non-disclosure agreement relating to confidential information of the C-NLOPB for which Bidder may have access during the course of performing the work.

The successful Bidder shall not disclose or make public any statements or

material acquired or produced in relation to this RFP or to the subsequent work without the prior written permission of the C-NLOPB.

9.6 Amendment or Cancellation

The C-NLOPB reserves the right to modify this RFP at any time prior to 12:00pm on the Submission Closing Date, at its sole discretion.

Any modifications made to the terms or the Submission Closing Date and time

will be made known to Bidders. Bidders are responsible for ensuring that they have complied with any modifications prior to submitting the Proposal.

When any modifications occur within 5 business days of the Submission Closing

Date, the Submission Closing Date may be extended at the discretion of the C-NLOPB to allow suitable Proposal preparation time.

This RFP may be cancelled in whole or in part without any penalty. A Proposal

that is submitted to the C-NLOPB by the Bidder in accordance with this RFP may be amended by a letter, provided the revision is received at the address above designated for the receipt of Proposals prior to the Submission Closing Date.

10.0 Contract for Services

10.1 Parties

The successful Bidder will be required to enter into a contract with the C-NLOPB that will reflect the deliverables in accordance with the RFP and the submission of the Bidder. A copy of a standard (DRAFT) Contract for Services is annexed as Appendix B hereto and forms part of this RFP.



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10.2 Estimated Contract Award Date

It is estimated that a Contract for Services against this RFP will be awarded by January 31, 2018. The successful Bidder will be expected to begin work upon award.

10.3 Contract Completion Date

All deliverables and commitments under the Contract for Services must be completed on or before March 31, 2019.

10.4 Method of Payment

The Proposal should indicate the Bidder’s preferred method of payment for services rendered. The following options for the method of payment are available in the Contract and will be incorporated into Schedule “C” of the Contract for Services: (a) One lump sum payment upon completion of the contract; or (b) Progress payments (subject to a 10% holdback) to be made not more

frequently than once per month. Invoices for progress payment would normally be presented to the C-NLOPB upon completion of a major deliverable (i.e., Consultation Report, Traditional Knowledge Report, Draft 1, Draft 2, Draft 3, and FINAL SEA Update Report).

The maximum amount to be paid (including expenses) by the C-NLOPB for this contract shall not exceed $600,000.00 plus HST.

10.5 Pre-Contract Costs

No payment shall be made for costs incurred in the preparation or submission of Proposals in response to this RFP.

11.0 Validity of Proposal Any Proposal received by the C-NLOPB must remain open for acceptance for a period of ninety (90) days after the Submission Closing Date of this RFP. After the Submission Closing Date, no amendments will be accepted.

12.0 Supporting Documentation and Presentation

In addition to the responses requested in this RFP, Bidders may include supporting documentation cross-referenced to the Proposal to assist in the evaluation.



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If there are any items for which the services offered significantly exceed requirements, they should be listed and additional details provided.

13.0 Conflict of Interest

Bidders shall disclose any information that might be relevant to an actual or potential conflict of interest. Bidders must warrant that, at the date of the acceptance of their Proposal, no conflict of interest exists or is likely to arise in the performance of their obligations. If, from the date of submitting a Proposal to the completion of the contract during the term of the engagement, a conflict of interest or risks of a conflict of interest arise, the Bidder / Contractor must notify the C-NLOPB immediately in writing of that conflict or risk.

14.0 Pre-Submission Inquiries

All inquires regarding the submission of a Proposal must be made in writing and submitted to: Elizabeth Young Canada-Newfoundland and Labrador Offshore Petroleum Board Suite 101, TD Place 140 Water Street St. John’s, NL A1C 6H6 Telephone: (709) 778-1400 Facsimile: (709) 778-1473 E-mail: [email protected] Inquiries should be received no later than 5 calendar days prior to the Closing Date of this RFP to allow sufficient response time. Otherwise, a response cannot be guaranteed.

15.0 Requests for Information

The C-NLOPB reserves the right in its sole discretion to clarify any Proposal after the Submission Closing date by seeking further information from that Bidder, without becoming obligated to clarify or seek further information from any or all other Bidder. However, Bidders are cautioned that any clarifications sought will not be an opportunity to correct or amend the Proposals in any substantive manner. The C-NLOPB reserves the right to request further detailed financial data to support the rates and other costs reflected in the project budget.

Appendix A


Final Scoping Document

Canada-Newfoundland and Labrador

Offshore Petroleum Board

November 2017


Final Scoping Document

Canada-Newfoundland and Labrador

Offshore Petroleum Board

November 2017

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Table of Contents Page No.

Table of Contents ......................................................................................................................... i

1.0 Introduction ........................................................................................................................ 1

2.0 Background ......................................................................................................................... 1

3.0 Area of Focus ...................................................................................................................... 3

4.0 Working Group .................................................................................................................... 4

5.0 Objectives............................................................................................................................ 5

6.0 Past and Present Oil and Gas Activities .............................................................................. 6

7.0 Scope of SEA ........................................................................................................................ 7

7.1 Spatial and Temporal Boundaries ............................................................................. 7

7.2 Factors and Issues to be Considered ........................................................................ 8

7.2.1 Traditional Knowledge ................................................................................... 9

7.2.2 Physical Environment .................................................................................. 10

7.2.3 Biological Environment ................................................................................ 10

7.2.4 Project-Environment Interactions ............................................................... 13

7.2.5 Cumulative Project-Environment Interactions ............................................ 14

7.2.6 Environment-Project Interactions ............................................................... 14

8.0 Summary and Conclusions ................................................................................................ 14

9.0 Traditional Knowledge ...................................................................................................... 14

10. Consultations .................................................................................................................... 15

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Table of Figures Page No.

Figure 1 - SEA Update Area .................................................................................................... 4

Labrador SEA Update Final Scoping Document /1 November 2017

1.0 Introduction The Canada-Newfoundland and Labrador Offshore Petroleum Board (C-NLOPB) has the responsibility

pursuant to the Canada-Newfoundland and Labrador Atlantic Accord Implementation Act and the

Canada- Newfoundland and Labrador Atlantic Accord Implementation Newfoundland and Labrador Act

(Accord Acts) to ensure that offshore oil and gas activities proceed in an environmentally responsible

manner. The C-NLOPB decided in 2002 to conduct Strategic Environmental Assessments (SEAs) of

portions of the Canada-Newfoundland and Labrador Offshore Area (the Offshore Area1) that may have

the potential for offshore oil and gas exploration activity but that were not subject to recent SEA nor to

recent and substantial site-specific assessments. The C-NLOPB has committed to reviewing its SEAs

within five to seven years from the date of publication to confirm accuracy and validity of the

conclusions.

In August 2008, the C-NLOPB published an SEA for a portion of the Labrador Shelf Offshore Area: the

Strategic Environmental Assessment Labrador Shelf Offshore Area (Sikumiut Environmental

Management Ltd. 2008) (the 2008 SEA Report). The 2008 SEA Report was conducted with the

assistance of a multi-stakeholder working group that was co-chaired by a representative of the C-

NLOPB and a representative of the Nunatsiavut Government. The C-NLOPB has decided to update the

2008 SEA Report in consideration of the elapsed time since it was originally published and its

commitment in that document to review it to determine if an update is required.

This scoping document describes the scope for the update of the 2008 SEA Report. The scope outlines

the factors to be considered in the Strategic Environmental Assessment Update Labrador Shelf

Offshore Area Report (the SEA Update Report), the scope of those factors, and guidelines for preparing

the SEA Update Report.

2.0 Background A strategic environmental assessment is defined as “the systematic and comprehensive process of

evaluating the environmental effects of a policy plan or program, and its alternatives” (Government of

Canada Cabinet Directive, 2010). SEAs incorporate a broad-based approach to environmental

assessment (EA) that examines the environmental effects which may be associated with a plan,

program or policy proposal and that allows for the incorporation of environmental considerations at

the earliest stages of program planning. The Cabinet Directive was updated in 2004 to strengthen the

1 The term ‘offshore area’ refers to the jurisdictional area of the C-NLOPB, as defined in the Canada-Newfoundland and

Labrador Atlantic Accord Implementation Act to mean “those submarine areas lying seaward of the low water mark of the Province and extending, at any location, as far as (a) any prescribed line, or (b) where no line is prescribed at that location, the outer edge of the continental margin or a distance of two hundred nautical miles from the baselines from which the breadth of the territorial sea of Canada is measures, whichever is greater.”


role of SEA at a strategic decision-making level, by clarifying obligations of various departments and

agencies and linking environmental assessment to the Implementation of Sustainable Development

Strategies.

SEA typically involves a broader-scale EA that considers the larger ecological setting, rather than a

project-specific EA that focuses on site-specific issues with defined boundaries. Additional information

regarding SEA may be found on the Canadian Environmental Assessment Agency web site at

http://www.ceaa-acee.gc.ca.

In this particular case, information from the SEA Update Report will assist the Board in determining

whether exploration rights should be offered in whole or in part within the Labrador Shelf Offshore

Area and may identify general restrictive or mitigative measures that should be considered for

application to exploration activities. The results of the SEA Update Report will be used by the Board in

potential future issuance of one or more exploration licences pursuant to the Accord Acts, in the

Labrador Shelf Offshore Area, and consequent petroleum-related activities that may occur offshore.

An exploration licence confers:

1. The right to explore for, and the exclusive right to drill and test for, petroleum;

2. The exclusive right to develop those portions of the Offshore Area in order to produce

petroleum; and

3. The exclusive right, subject to compliance with the other provisions of the Accord Acts, to apply

for a production licence.

Activities associated with exploration licences may include: conduct of seismic surveys, other

geophysical surveys, geotechnical surveys; drilling of wells (either exploration or delineation); well

testing; and well abandonment. If one or more exploratory drilling programs successfully identify

petroleum deposits with commercial potential, production activities may follow. Production activities

may involve: drilling of wells (e.g. delineation, development/production, and injection wells, well

testing activities such as flaring); installation and operation of subsea equipment; installation and

operation of production facilities; and production abandonment activities. However, the nature and

scale of potential production activities is usually very difficult to predict in the early stages of

exploration in an area, in any but the most general of terms.

Each of these activities requires the specific approval of the C-NLOPB, including a project-specific EA of

its associated environmental effects, either in accordance with the Canadian Environmental

Assessment Act 2012 (CEA Act 2012), or the Accord Acts. The SEA Update Report will not replace this

requirement for a project-specific EA. However, it will provide an overview of the existing

environment; discuss in broader terms the potential environmental effects associated with offshore oil


and gas activities in the Labrador Shelf Offshore Area; include Traditional Knowledge and describe

current and historical occupational uses of Labrador indigenous groups in the geographic focus for the

SEA Update depicted in Figure 1 (the SEA Update Area); identify knowledge and data gaps; highlight

issues of concern; and make recommendations for mitigation and planning.

3.0 Area of Focus The SEA Update Area includes all marine waters east of the low water mark, including the Zone, out to

the seaward limit of the Offshore Area. For clarity, the area commonly referred to as the “Lake

Melville Area” will only include that portion of the Zone extending from the mouth of Lake Melville

seaward into the Offshore Area. The eastern limits of the original SEA Area have been extended in the

southern portion to the full extent of Canada’s continental shelf claim beyond 200 nautical miles from

the territorial sea baselines, outside the limit of the 2008 SEA but now included in the SEA Update.

Areas defined in the SEA Update Area beyond the 200 nautical mile limit are part of Canada’s 2013

partial submission to the Commission for the Limits of the Continental shelf (CLCS). The Extended

Continental Shelf area delineated in Canada’s submission should be considered preliminary and is

subject to change pending recommendations from the CLCS and the resolution of overlapping

delineations with neighbouring nations.

Within the Labrador Shelf Offshore Area, the Nunatsiavut Government has certain duties and powers, as

defined by the Labrador Inuit Land Claims Agreement (the Agreement), in the Zone and in the Area

Adjacent to the Zone2. It is also noted that although land claims agreements are not presently settled

with the Innu Nation and the NunatuKavut Community Councils, their people are very much connected

to the land and waters offshore of their traditional territories. These territories fall within the Labrador

SEA Update Report boundaries and it is anticipated that both Indigenous groups will have resolved

agreements within the foreseeable future.

2 The Zone and Area Adjacent to the Zone are defined in the Agreement.


Figure 1 - SEA Update Area

4.0 Working Group This scoping document was drafted by C-NLOPB staff with the assistance of a Working Group. The

Working Group is co-chaired by the C-NLOPB and the Nunatsiavut Government and consists of

members of the Nunatsiavut Government, federal and provincial government agencies, fishing interest

groups, Indigenous organizations, academia, industry, and non-governmental organizations. The

purpose of the Working Group is to assist the C-NLOPB in: the development of the SEA Update Report

through the provision of technical advice regarding the scope and content; the collection and analysis

of Traditional Knowledge; and public consultations.


5.0 Objectives Within the SEA Update Area, the SEA Update Report will:

Provide an overview of the scientific information on the existing and predicted ecosystems;

Identify timing of occurrence for all life stages of ecologically, commercially, and societally

important species;

Describe Traditional Knowledge;

Collect, describe, and incorporate Traditional Knowledge into assessment of Valued Ecosystem

Components (VECs);

Describe typical and current offshore oil and gas exploration activities;

Describe typical offshore oil and gas production activities;

Describe potential accidents and malfunctions associated with the activities, and their potential

effects;

Describe and evaluate potential environmental effects associated with potential offshore oil

and gas exploration and production activities;

Conduct ecological and socio-economic risk assessment on sensitive species to better

understand impacts between and throughout different types of offshore exploration and

production activities, however, detailed ‘effects assessment analyses’, including determination

of significance pursuant to the CEA Act 2012, will not be undertaken in the SEA Update;

Describe current best practices for mitigation for offshore oil and gas exploration and

production activities that have evolved since the 2008 SEA, including a review of best practices

employed in the Canadian jurisdiction with respect to each of the outlined activities;

Update the status of knowledge and data gaps identified in the 2008 SEA and identify any new

knowledge and data gaps;

Highlight issues that may be of concern;

Highlight issues that were identified in the original SEA that are still applicable;

Identify areas of ecological interest or Environmentally Sensitive Areas, including any new areas

that have been designated since the 2008 SEA;

Make recommendations for mitigative measures that should be employed during offshore

petroleum activities, while considering the Precautionary Approach;

Identify, where appropriate, areas requiring enhanced levels of mitigation and , if feasible, the

level of enhanced mitigation required;

Identify restrictive or monitoring measures, as appropriate, that may be required for future

offshore petroleum activities; and

Assist the C-NLOPB in determining whether exploration rights should be issued in whole or in

part in the SEA Update Area.


The content of the SEA Update Report (outlined above) must be based on new and relevant

information that has become available since the publication of the 2008 SEA Report. The SEA Update

Report document will be an addendum to the 2008 SEA Report.

6.0 Past and Present Oil and Gas Activities Past exploration activities in the SEA Update Area have included the collection of approximately

210,820 line km of 2D seismic data from 1968 to 2015. The most recent seismic program operated in

2015 acquired approximately 9,354 km of 2D seismic and gravity data. Since the early 2000’s there has

been modern 2D seismic data acquisition offshore Labrador, with a change of exploration focus since

2011 moving seismic exploration predominantly into the deepwater (>500m).

Exploration drilling commenced in the 1970’s and between 1971 and 1985, 26 exploration wells and 2

delineation wells were drilled in shallow water on the Labrador Shelf. With the discovery of natural gas

at a number of these exploration wells, five significant discovery licences (SDLs) were granted. In total,

the five SDLs represent 4.244 trillion cubic feet (TCF) of natural gas reserves.

On May 18, 2007, the C-NLOPB announced a Call for Bids for the Labrador Offshore Region. This was

the first Call for Bids in the Labrador Shelf Offshore Area in the history of the C-NLOPB Call for Bids.

Four exploration licences (ELs) were awarded, however, there was no new drilling and the ELs were

subsequently relinquished in November 2014. There are currently no active ELs or production licences

(PLs) within the SEA Update Area (see Figure 1).

In December of 2013 the C-NLOPB announced the implementation of the new Scheduled Land Tenure

System, which included the introduction of the Labrador South region in the first Call for Nominations

(Area of Interest). In the Scheduled Land Tenure System, offshore Labrador was sub-divided into two

regions, Labrador North and Labrador South, for the purposes of licencing. These two regions were

further classified as low activity, based on the level of oil and gas exploration and development

activities, and assigned a 4-year land tenure cycle.

The Labrador South Sector NL01-LS was announced in May 2014. The subsequent Call for Nominations

(parcels) period was introduced in January of 2016 and closed in March 2016. The Call for Bids for

NL01-LS opened in 2016 and will close a minimum of 120 days after completion of the SEA Update

Report, pending approval from the Board and subsequent approval of Provincial and Federal Ministers

of Natural Resources.

Offshore Labrador, the scheduled land tenure process has continued including the announcement of

the second Call for Nominations (Area of Interest) and the introduction of the second sector in the

Labrador South region in June 2015. This second sector (NL02-LS) will progress through the land tenure

process, with a planned bid round close in November of 2019 pending associated approvals. Currently,


a total of approximately 4,288,030 hectares are active in the land tenure process for Labrador South

region, all within the 200 Nautical Mile (NM) limit.

7.0 Scope of SEA The SEA Update Report will describe all foreseeable offshore oil and gas exploration activities in the

SEA Update Area, with a focus on the 10-year period following the projected publication date. It will

examine the project-environment interactions associated with these petroleum exploration activities.

Exploration activities to be considered in the SEA Update Report include exploratory and delineation

drilling, well testing, seismic survey activities (e.g. 2D, 3D and 4D, vertical seismic profiling, geohazard

surveys), geotechnical surveys, and wellsite abandonment. The focus of the SEA Update Report will be

on activity and interactions of the project-environment, as well as projecting and documenting

environmental change more broadly within the region in the Labrador Offshore Area. However, where

information exists, the coastal environment will be described and the project-environment interactions

identified and discussed. Where information does not exist, the precautionary approach will be applied

and a plan that identifies gaps and recommendations on how to fill the gaps will be developed.

The extent of exploration activity will be estimated based on historical activity in the area and the

potential for future exploration activity to the greatest extent that can be expected, to the degree that

this can be foreseen.

Generic types of production facilities that could be employed in the SEA Update Area will be identified

and their potential project-environment interactions documented and discussed. Predictions

concerning types and quantity of likely production facilities will be undertaken based on current and

predicted activity levels. The discussion will focus on existing SDLs in the area, and known and feasible

production scenarios.

7.1 Spatial and Temporal Boundaries

The spatial boundary for petroleum related activities to be considered in the SEA Update Report is

shown in Figure 1. The SEA Update Area is bounded in the south by the Eastern Newfoundland SEA

area. The eastern boundary extends past the 200 NM Exclusive Economic zone in the southern

portion, to the limit of Canada’s claim pursuant to the United Nations (UN) Convention on the Law of

the Sea (UNCLOS). The eastern boundary of the 2008 SEA terminated at the 200 NM or nautical mile

boundary. The western boundary is at the coast of Labrador to the low water mark.

The temporal scope of the SEA Update will be approximately 10 years but will be reviewed within a five

to seven year period to determine whether an update is required.


7.2 Factors and Issues to be Considered

The SEA Update Report must focus on the incorporation of scientific and collected Traditional

Knowledge (TK) and will be based on a VEC approach which identifies components of the environment

that are valued (e.g. socially, economically, culturally and/or scientifically) and/or of interest when

considering the potential environmental effects. Each VEC (including components or subsets thereof)

will be defined and the rationale for its selection provided. VECs will be determined based on

consultations with interested stakeholders, the public, regulatory agencies, and published scientific

literature. At a minimum, VECs will include: fish and fish habitat (including benthic habitat);

commercial fisheries, traditional Indigenous fisheries, marine mammals and sea turtles; waterbirds

(including seabirds, waterfowl, shorebirds); species at risk; and sensitive/special areas.

The SEA Update Report must include the following:

Historical overview of offshore petroleum exploration activity in the SEA Update Area and a

discussion of regional offshore oil and gas activities in the Offshore Area;

Overview of offshore petroleum exploration activities (e.g. wellsite surveys, vertical seismic

profiling (VSP), 2D/3D/4D seismic, geotechnical programs, exploration drilling (including

onshore to offshore drilling), well testing, well abandonment) and methods to carry out these

activities;

Discussion of production alternatives that could be employed in the SEA Update Area;

Description of the physical and biological environments in the SEA Update Area based on

existing information and data that has become available since the 2008 SEA Report, including

Traditional Knowledge collected at the first stage of the SEA Update process. The extension of

the SEA Update Area seaward of the 200 mile EEZ in the southern portion will result in a new

area of focus that was not included in the 2008 SEA Report. Other information sources for areas

outside the 200 mile EEZ should be considered when describing the various marine resources.

Where information does not exist, the precautionary approach will be applied and a plan that

identifies data gaps, and recommendations on how to fill the gaps, will be developed. Factors

to be included are outlined in Sections 7.2.1 through 7.2.3;

Description of other marine activities in the SEA Update Area (e.g. fisheries, aquaculture,

marine transportation);

Project-environment interactions of the VECs in the SEA Update Area will be identified and

qualitatively assessed using standard protocols, however, detailed ‘effects assessment

analyses’, including determination of significance pursuant to the CEA Act 2012, will not be

undertaken in the SEA Update;

Cumulative effects of generic types of production facilities that could be employed in the SEA

Update Area will be identified and their potential project-environment interactions assessed;

Recommendations of the priority of data gaps;


Identification of mitigative measures and monitoring measures that might be considered for

offshore activities. Specific or ‘non-typical’ mitigations that may be required to address specific

concerns will be highlighted;

Identification of areas requiring enhanced, or ‘non-typical’ mitigation measures;

Discussion of effects and mitigation of potential accidental events, as well as malfunctions

associated with offshore oil and gas exploration activity;

Discussion of potential cumulative effects associated with multiple offshore oil and gas

activities in the SEA Update Area based on an estimate of potential exploration activity derived

from historical offshore petroleum activities in the area, and in consideration of offshore oil and

gas activities within the Offshore Area; and,

For each factor identified below, discuss potential planning implications/considerations which

may have to be considered in site-specific EAs (i.e., need for additional data, special

mitigations).

Detailed ‘effects assessment analyses’, including determination of significance pursuant to the CEA Act

2012, will not be undertaken in the SEA Update. A determination of significance can only be

undertaken at the project specific stage where detailed information respecting project activities and

scheduling are known.

Mitigation measures currently in practice to reduce or eliminate potential effects will be described

for activities that may affect the physical and biological environments and VECs. Specific or ‘non-

typical’ mitigations that may be required to address specific concerns will be highlighted, in

particular, specific mitigations proposed for any special/sensitive areas identified within the SEA

Update Area. Residual effects remaining after the application of routine mitigations will also be

described.

The SEA Update Report will consider the following environmental factors and issues, as a minimum,

with emphasis upon factors within the SEA Update Area. Sufficient supporting information will be

provided, or referenced and summarized if it already exists in publicly available publications.

Substantive uncertainties or information gaps will be identified.

7.2.1 Traditional Knowledge

The gathering and documenting of TK of historical, current, and potential future use of the SEA

Update Area will be an important component of the SEA Update. Traditional Knowledge will be

collected from the region’s three Indigenous groups; the Inuit, Innu and NunatuKavut. The

gathering and documenting of TK will be done at the earliest stages of the SEA Update process

under guidance from the SEA Update Working Group. Information on species of importance, area

use, and changes in environment (e.g., ecological, commercial, ceremonial, traditional) in the SEA

Update Area will be included within each of the VEC description categories. TK will also be included


within the recommended mitigation measures to ensure impacts to VECs are minimized with

regards to ecological, ceremonial and commercial use by Indigenous peoples.

7.2.2 Physical Environment

A description of physical environmental factors in the SEA Update Area will be presented, with

emphasis upon the following:

Meteorology and climatology (extreme events, means and seasonal variations) that also

factor in predicted variances as a consequence of potential climate change, based on

available information and existing gaps ;

Geology, including a discussion of the potential for seismicity/geohazard events and their

impacts on slope stability;

Oceanography (current regime, wind, waves, extreme events);

Sea ice, including ice islands, and iceberg conditions (historical overview, seasonal

variability and current trends); and

An overview of the coastal/shoreline environment in the SEA Update Area with specific

emphasis on special or unique habitats or places (e.g., Ecologically or Biologically

Significant Marine Areas (EBSAs), parks, protected areas, fish spawning habitat, important

bird areas, shoreline sensitivity information).

7.2.3 Biological Environment

An overview of the biological environment in the SEA Update Area will be presented, with

emphasis upon identified VECs. For each of the following, the biological descriptions should be

consistent with the level of detail presented for each species. Overviews of species (distributions,

critical life stages, and important areas) should be presented in the context of their relevance to

the SEA Update Area and of the potential for interaction with offshore oil and gas activities.

The following provides a detailed listing of information that must be captured within the SEA

Update Report:

Plankton

Benthic Invertebrates (including commercial shellfish species):

o Overview of benthic invertebrates in the SEA Update Area, with focus on

ecologically, commercially and societally important species as well as species

showing the potential of supporting emerging fisheries. Information will include a

summary of critical life stages and locations of habitat supporting these life stages,

if applicable to the SEA Update Area

o The identification of known spawning, feeding, migratory and essential habitats,

including coastal areas (where information exists) within the SEA Update Area, for

the species described above


o Summaries of benthic invertebrate habitat, particularly those supporting fisheries

Fish and Fish Habitat:

o Overview of finfish and marine invertebrates in the SEA Update Area, with focus

on ecologically, commercially and societally important species as well as species

showing the potential of supporting emerging fisheries. Information will include a

summary of critical life stages and locations of habitat supporting these life stages,

if applicable to the SEA Update Area

o The identification of known spawning, feeding, migratory and essential habitats,

including coastal areas (where information exists) within the SEA Update Area, for

the species described above

o Summaries of finfish and marine invertebrate habitat, particularly those

supporting fisheries

Commercial, Recreational and Indigenous Fisheries

o Overview of Historical, present and potential future fisheries within the SEA

Update Area, including species under moratoria

o Description of commercial, recreational and indigenous fisheries in the SEA Update

Area, including species, location, vessel size, gear type, and timing

o Aquaculture activities, if present, should be described.

Waterbirds

o Overview of species present, including seabirds, waterfowl, and shorebirds, in the

SEA Update Area and their distribution and abundance.

o Description of critical life stages, life histories, and important areas within the SEA

Update Area.

Marine Mammals

o Description of marine mammals (including Polar Bears) that may be present in the

SEA Update Area

o Distribution of species, including lifestyles, life histories and important areas

within the SEA Update Area

Sea Turtles

o Description of sea turtles that may be present in the SEA Update Area

o Distribution of species, including lifestyles, life histories and important areas

within the SEA Update Area


Species at Risk

o Description of Species at Risk, and critical habitat, as described in the Species at

Risk Act, Committee on the Status of Endangered Wildlife in Canada (COSEWIC),

and by the Government of Newfoundland and Labrador that have been identified,

or are believed likely to be present, in the SEA Update Area. The most recent and

up-to-date information available for Species at Risk Act related species information

(e.g. species status, species listings, species recovery planning, species critical

habitat designations) is provided for within the Species at Risk registry at

(www.sararegistry.gc.ca).

o Monitoring and mitigation, consistent with recovery strategies/action plans

(endangered/threatened) and management plans (special concern) for species or

critical habitat identified in the SEA Update Area, as indicated above

Sensitive/Special Areas

o Description of sensitive or special areas in the SEA Update Area. These can

include, but are not limited to:

rare or unique habitats;

important bird areas;

Provincial ecological reserves;

fish spawning habitat/migration routes;

marine mammal migration routes;

rare or unique plant species;

areas of high productivity;

Torngat Mountains National Park;

National Parks;

Marine Protected Area designations;

Areas of interest under the National Marine Conservation Area (Nain Bight

and Hamilton Inlet);

Culturally and historically significant areas;

Fishery Exclusion zones such as Hawke Channel no trawling and gillnet

zone; and

Areas of ecological interest or environmental sensitivity, including

Ecologically and Biologically Significant Areas (EBSAs).

Human Use

o Description of traditional and cultural activities, including Indigenous activities.

These include, but are not limited to, travel routes, hunting, gathering, and other

domestic harvesting activities

o Overview of marine recreational and tourism activities.

http://www.sararegistry.gc.ca/


o Overview of commercial traffic activity within and through the SEA Update Area

7.2.4 Project-Environment Interactions

For each of the identified VECs, a description of the potential interactions of typical petroleum

exploration activity with the environment, based on new and relevant information that has become

available since the publication of the 2008 SEA Report, will be presented. Typical activities include:

Seismic data collection;

Exploratory/delineation drilling (e.g., mobile offshore drilling unit (semi-submersible or

jack-up rig), and ancillary activities;

Production activities (based on information provided as per Section 7.2 above);

Vessel traffic (e.g., supply vessels, seismic vessels, helicopters); and

Well abandonment operations.

Typical project-environment interactions associated with generic petroleum production activities

will be discussed for completeness.

Potential project interactions include, but are not limited to, the following.

Noise/disturbance (e.g., seismic survey activities, shipping activities, drilling installations)

on marine mammals, sea turtles, seabirds/waterfowl, sensitive life stages of commercial

fish/shellfish species, and commercial fishing activity;

Benthic habitat disturbance;

Coastal interactions, including fish/bird habitats and sensitive areas;

Air quality issues that may include a discussion of typical greenhouse gas emissions

associated with typical drilling and production operations;

Operational discharges and the effects on water and sediment quality. Information and

experience that has been gathered from ongoing Environmental Effects Monitoring (EEM)

programs for existing Newfoundland and Labrador offshore oil and gas developments

including Hibernia, Terra Nova and White Rose should be included;

Operational discharges (e.g. sheens) and the effects on migratory birds;

Accidental events and risk assessment of those events – including offshore and coastal

interactions, sensitive/special places, mitigations and response plans;

Conflict with commercial fisheries, Indigenous fisheries, commercial traffic (e.g. ferry

service), and recreational /tourism use of area;

Attraction of seabirds to lights/flares on structures or vessels; and

Consideration of potential conflict with project activities (including light and noise

generated) with tourism operations and the aesthetic and cultural landscape.


7.2.5 Cumulative Project-Environment Interactions

Cumulative effects will be examined in consideration of the estimate of potential exploration

activity in the SEA Update Area, and mitigation measures identified. Planned and reasonably

foreseeable exploration activities will be included in the cumulative effects and will also consider

other non-petroleum activities ongoing in the SEA Update Area, such as commercial and

Indigenous fishing and hunting, marine traffic, tourism operations, and fisheries research surveys.

Consideration of marine activities, where applicable, in adjacent areas will be included.

7.2.6 Environment-Project Interactions

For exploration activities identified, the SEA Update Report must include a discussion of the effects of

the environment on project activities within the SEA Update Area. These environmental factors will

include:

The occurrence of sea ice, including ice islands, and icebergs;

Temperature, currents, storm events;

Severe winds and waves (extreme events); and

Expected climatic and environmental changes due to potential climate change, based on

available information and existing gaps.

8.0 Summary and Conclusions Information presented in the physical and biological environment overview, the description of project-

environment interactions, and the application of mitigation measures will be summarized for use in the

development of conclusions for the C-NLOPB to consider in the issuance of exploration licences in the

SEA Update Area. Data gaps, with potential to affect the validity of these conclusions, will be

highlighted and recommendations on how to establish a plan to fill the gaps will be developed.

Sensitive areas or areas of concern identified during the SEA Update process will also be highlighted.

9.0 Traditional Knowledge Labrador’s Indigenous peoples have thrived on their offshore marine environment. This deep historical

connection continues today, with each of Labrador’s three Indigenous groups, Inuit, Innu and

NunatuKavut, dependent on the Labrador marine environment for their social, cultural and economic

wellbeing. As a result, Labrador’s Indigenous peoples hold a profound and important knowledge of the

area and its complex environment. The inclusion of this knowledge is integral to the future

management of the offshore environment and is an important component of the SEA Update process.

Throughout the development of the SEA Update Report, the contractor, with assistance from the

Working Group, will gather and document Traditional Knowledge relating to the SEA Update Area. The

contractor will liaise closely with representatives of the Nunatsiavut Government, the Innu Nation and

NunatuKavut in the planning and conduct of traditional knowledge collection from individuals and/or


groups. It is expected that community consultations and targeted stakeholder engagement sessions

will be required across the three groups to ensure that the collection of traditional knowledge is

comprehensive and balanced.

10. Consultations Throughout the development of the SEA Update Report, the C-NLOPB and its contractors, with

assistance by the Working Group, will consult with the Nunatsiavut, provincial and federal government

departments, Indigenous Groups, Labrador communities, the fishing industry, and local non-

governmental organizations. Information on the SEA Update process will be provided and people will

be encouraged to discuss issues and concerns that are relevant to the SEA Update Area and objectives.

Appendix B

CONTRACT FOR CONSULTING SERVICES (DRAFT)

1

CONTRACT FOR CONSULTING SERVICES (DRAFT)

Preparation of Strategic Environmental Assessment Update for Labrador Shelf Offshore Area

THIS AGREEMENT made the day of XXX, 2017 BETWEEN:

CANADA-NEWFOUNDLAND AND LABRADOR OFFSHORE PETROLEUM BOARD, a board established by the joint operation of section 9 of the Canada-Newfoundland and Labrador Atlantic Accord Implementation Act and section 9 of the Canada-Newfoundland and Labrador Atlantic Accord Implementation Newfoundland and Labrador Act (the Accord Acts), having an office at the City of St. John's in the Province of Newfoundland and Labrador,

(hereinafter called "the Board")

- and -

(hereinafter called “the Contractor”)

NOW THEREFORE in consideration of the payments to be made hereunder and the covenants and undertakings of the Parties contained herein, the Contractor and the Board mutually agree as follows: 1. CONTRACT DOCUMENTS (a) The following Schedules attached hereto shall form a part of this Contract: (i) Schedule "A" - Scope of Work; (ii) Schedule "B" - Time of Performance; (iii) Schedule "C" - Compensation; (b) In case of a conflict between the main body of this Contract and the Schedules attached hereto, the main body of this Contract shall prevail to the extent of resolving such conflict. 2. THE WORK

(a) The Contractor shall provide personnel, materials and supervision necessary to

perform the work as described in Schedule "A" (hereinafter called the "Work").

(b) The Contractor shall carry out the deliverables outlined in Schedule “A”.

(c) The Contractor shall report to the Elizabeth Young, Environmental Affairs, the Contract Authority.

2

3. TERM AND TIME OF PERFORMANCE This Contract shall become effective upon the date first above written (hereinafter called the “Effective Date”) and the Contractor shall prosecute the completion of the Work with due diligence and dispatch in accordance with Schedule "B".

4. COMPENSATION (a) The Contractor shall be reimbursed for performing the Work in Canadian funds in

accordance with Schedule "C".

(b) The Board shall have no obligation to pay the Contractor for any goods or services which are not part of the Work.

5. INVOICES (a) The Contractor shall present, in accordance with the provisions of Schedule "C", one

original invoice to: Canada-Newfoundland and Labrador Offshore Petroleum Board Suite 101, TD Place 140 Water Street St. John’s, NL A1C 6H6 Attention: Director, Administration & Industrial Benefits

(b) The Contractor's invoices shall be accompanied by such supporting documentation as may be requested by the Board.

6. INDEPENDENT CONTRACTOR

(a) In the execution of the Work, the Contractor shall operate as an independent

contractor.

(b) Nothing in this Contract shall be construed to constitute the Contractor the agent, representative or employee of the Board.

(c) The Contractor hereby covenants and agrees to indemnify and save harmless the Board from all costs and expenses arising out of any claim or liability by reason that the Contractor is considered an agent, representative or employee of the Board.

7. AMENDMENTS

This Contract may only be amended, supplemented or otherwise modified by the written agreement of the parties.

8. TERMINATION

(a) It is agreed that the either party has the right, in the exercise of its absolute discretion,

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to terminate this Contract at any time, subject to Clause 17 by giving at least seven (7) days written notice to that effect to the other party.

(b) The termination of this Contract will not affect the rights of the parties hereto which have accrued prior to the date of termination and shall not relieve any party from its obligations which may have arisen prior to the date of such termination, nor shall such termination affect such rights, remedies or obligations preserved under Clause 17.

(c) Subject to all other terms and conditions of this Contract, if this Contract is terminated, the Contractor shall be entitled to full payment proportionate to the part of the Work done by the Contractor up to the effective date of the termination in accordance with Schedule “C”.

(d) The Board shall not be held liable for damages or loss of profits on account of the termination in accordance with this Contract.

9. CONFIDENTIAL INFORMATION (a) For the purposes of this Contract:

(i) “Confidential Information” shall mean any and all information, data or know-

how, whether technical or non-technical, as well as any sample or model, that is disclosed pursuant to this Contract by the Board (in whatever form communicated or maintained, whether written, oral, electronic or otherwise) including, without limitation, any knowledge or information relating to corporate documents, records, registers, notices, minutes or any other corporate information relating to the operations, business, financial affairs, products, services, projects, technologies, facilities, inventions, creations or intellectual properties of the Board; and

(ii) Except as required by applicable federal, provincial or local law or regulation,

the term “Confidential Information” as used in this Contract shall not include information that:

a. at the time of disclosure is, or thereafter becomes, generally available

to and known by the public other than as a result of, directly or indirectly, any violation of this Contract by the Contractor or any of its employees, subcontractors or agents;

b. at the time of disclosure is, or thereafter becomes, available to the Contractor on a non-confidential basis from a third-party source, provided that such third party is not and was not prohibited from disclosing such Confidential Information to the Contractor by a legal obligation;

c. was known by or in the possession of the Contractor or its employees, subcontractors or agents, as established by documentary evidence, prior to being disclosed by or on behalf of the Board pursuant to this Contract; or

d. was or is independently developed by the Contractor, as established by

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documentary evidence, without reference to or use of, in whole or in part, any of the Confidential Information.

(b) The Contractor agrees to keep confidential all Confidential Information or data which

has been made available or is hereafter made available to the Contractor by the Board or which results from the Contractor's Work for the Board.

(c) The Contractor agrees not to disclose any Confidential Information referred to in paragraph 9(b) to others without the prior written approval of the Board.

(d) The Contractor agrees not to use the Confidential Information presented hereunder for any other purposes than to perform the Work in accordance with this Contract.

(e) The Contractor shall give the Board such other assurances and enter into such additional secrecy or other agreements as may be necessary or appropriate to give full effect to the intent and purpose of this Contract.

(f) All information regardless of its form, including without limitation, electronic data,

reports, opinions, or other pertinent papers prepared by the Contractor and arising from this Contract, and all intellectual property rights therein, are the sole property of the Board and may be used by the Board at its discretion.

(g) Upon termination of the Contract, the Contractor will relinquish to the Board all

originals and copies of the Confidential Information referred to in paragraph 9(b), unless otherwise agreed to by the Director of Environmental Affairs at the Board, and shall remove all electronic information from the data systems of the Contractor. The Contractor shall provide the Board with written confirmation that this term of the Contract been complied with by the Contractor.

10. ASSIGNMENT

(a) Neither this Contract nor any of the rights, duties or obligations under this Contract is assignable or transferable by a party without the prior written consent of the other party, which consent may not unreasonably be withheld. Any attempt to assign any of the rights, duties or obligations in this Contract without such written consent is void.

(b) Notwithstanding that the Contractor may assign or subcontract any of the Work as provided above in subclause 10(a), the Contractor shall remain solely liable and responsible to the Board for the performance of this Contract.

11. COMPLIANCE WITH LAW (a) The Contractor shall observe and comply with, and shall ensure that its employees,

subcontractors and agents observe and comply with, all applicable laws, ordinances, codes and regulations of governmental agencies, including federal, provincial, municipal, and local governing bodies having jurisdiction over the Work.

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(b) The Contractor shall indemnify and save harmless the Board from and against any and all liabilities and penalties resulting from any non-compliance or violation by the Contractor, its employees, agents and subcontractors of such laws, ordinances, codes and regulations.

12. RELEASE OR PUBLICATION (a) The Contractor shall not release or disclose to a third party any results or information,

including Confidential Information, relating to the Work to be performed by the Contractor hereunder without the prior written consent of the Board.

(b) The Contractor shall not use the name of the Board in any advertising or promotional material or publicity release relating to the Work, or the results thereof without the prior written consent of the Board, which consent may be arbitrarily withheld.

(c) All materials, files and images produced or generated by the Contractor as a result of

this Contract are the exclusive property of the Board and may be reproduced by the Board at its discretion.

13. LIABILITY AND INDEMNIFICATION (a) Subject to subclause (c) hereof, the Contractor shall:

(i) be liable to the Board for all actions, proceedings, claims, demands, losses,

costs, damages and expenses whatsoever which the Board may suffer, sustain, pay or incur; and, in addition,

(ii) indemnify the Board against all actions, proceedings, claims, demands, losses, costs, damages and expenses whatsoever which may be brought against or suffered by the Board;

as a result of or in connection with the performance, purported performance or non-

performance of the provisions of this Contract including the Work hereunder by the Contractor, its employees, agents, affiliates, or subcontractors excluding any such actions, proceedings, claims, demands, losses, costs, damages and expenses to the extent that they are sustained, paid or incurred by reason of or are otherwise attributable to the negligence or willful acts or omissions of the Board or its agents, employees or subcontractors.

(b) The Contractor’s liability to the Board for any reason and upon any cause of action,

whether sounding in tort, contract, or any other legal theory, shall at all times and in the aggregate be limited to the total Compensation in Schedule “C” herein.

(c) The Board shall not be liable for any indirect or consequential damages or losses suffered by the Contractor including loss of anticipated profits or business whether such damages are based in contract, tort or otherwise.

(d) The Contractor shall not be liable for any indirect or consequential damages or losses suffered by the Board including loss of anticipated profits or business whether such

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damages are based on contract, tort or otherwise.

(e) Except as otherwise expressly provided in this Contract, the Parties do not intend that this Contract benefit or create any legal or equitable right, remedy or cause of action in, or on behalf of, any third-party and no person or entity, other than a party to this agreement, is entitled to rely on the provisions of this agreement in any proceeding.

14. INSURANCE COVERAGE (a) The Contractor shall place and keep at its own expense the following insurance in

force during the term of this Contract and such insurance shall not act as a limitation of the Contractor's obligations or liability hereunder: (i) Employment Insurance and Workers' Compensation covering all the

Contractor's employees engaged in the Work in accordance with the statutory requirements of the province having jurisdiction;

(ii) Automobile Liability Insurance covering all motor vehicles owned, non-owned, or licensed or hired by the Contractor and used in the performance of the Work as required by the applicable Provincial Transportation Act;

(iii) Aircraft Liability Insurance, where the Contractor owns an aircraft or uses an aircraft for the Work, covering owned, non-owned or hired aircraft with an inclusive limit of not less than Five Million Dollars ($5,000,000.00) for bodily injury to or death of, any one person, or property damage as a result of any one accident.

(b) The Contractor shall use its best efforts to require its subcontractors to comply with all

applicable Employment Insurance and Workers' Compensation legislation and to obtain and continuously carry during the period in which such subcontractors are engaged in the Work, insurance at least equivalent to that set out above.

(c) The Contractor shall provide, at its own expense, any other insurance which it is required by law to provide.

(d) Where required in writing by the Board, the Contractor shall present duplicate certificates which show that the above insurance is in effect, and which provide for thirty (30) days' prior written notice to the Board from the insurer of material changes, cancellation or renewal.

15. NOTICES Except as otherwise provided for in this Contract, all notices authorized or required to be given pursuant to this Contract shall be in writing, and either delivered by hand, mailed by registered or certified first class airmail, postage prepaid, or sent by telecommunication as follows:

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BOARD: Canada-Newfoundland and Labrador Offshore Petroleum Board Suite 101, TD Place 140 Water Street St. John's, NL A1C 6H6 Attention: Director, Environmental Affairs Telephone: (709) 778-XXXX Telecopier: (709) 778-1473 E-mail: XXX @cnlopb.ca CONTRACTOR: Attention: Telephone: Facsimile: E-mail: Any such notice shall be deemed to have been given and received, if delivered by hand, on

the day on which it was delivered, or, if mailed, on the day of receipt, or, if sent by telecommunication, on the first business day following the day it was dispatched. No party shall mail any notice hereunder during any period in which Canadian postal workers are on strike or if any such strike is imminent and may be anticipated to affect normal delivery thereof. A party may change its address for the receipt of notice at any time by giving notice thereof to the other party.

16. MISCELLANEOUS PROVISIONS

(a) This Contract shall be governed by, and the legal relations between the parties shall

be construed and applied in accordance with, the laws of the Province of Newfoundland and Labrador.

(b) The courts having exclusive jurisdiction with respect to all matters directly or indirectly relating to this Contract shall be the courts of the Province of Newfoundland and Labrador without regard to conflict of laws principles that would require the application of the laws of another jurisdiction.

(c) This Contract shall enure to the benefit of and be binding upon the parties hereto and their respective successors and assigns.

(d) Time is of the essence herein.

(e) Either party shall be excused from performance and shall not be liable for any delay in whole or in part, caused by the occurrence of any contingency beyond the reasonable control of either of the excused party or its subcontractors or suppliers including, but not limited to, war, sabotage, insurrection, riot or other act of civil disobedience, act of public enemy, failure or delay in transportation, act of any government or any agency or subdivision thereof affecting the terms hereof, accident, fire, explosion,

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flood, severe weather or other act of God, or shortage of labour or fuel or raw materials.

(f) No waiver by either party hereto of any breach of any of the covenants herein

contained shall take effect or be binding upon that party unless the same be expressed in writing and signed by a duly authorized representative of such party and any waiver so given shall extend only to the particular breach so waived and shall not limit or affect any rights with respect to any other or future breach.

(g) Clause headings and any other headings or captions hereto shall not be used in any way in construing or interpreting any provision hereof.

(h) If any covenant, obligation, agreement, term or condition of this Contract or the application thereof to any person or circumstances is determined by a court of competent jurisdiction to be illegal, invalid or unenforceable, the remainder of this Contract or the application of such covenant, obligation, agreement, term or condition to persons or circumstances other than those in respect of which it is held invalid or unenforceable, shall not be affected thereby and each covenant, obligation, agreement term and condition of this Contract shall be separately valid and enforceable to the fullest extent permitted by law.

(i) Each party will, at the request of the other party, execute and deliver such additional documents and other assurances and perform or cause to be performed such further and other acts or things as may be reasonably required to give effect to and carry out the terms of this Contract.

(j) Except as otherwise expressly provided in this Contract, all costs and expenses incurred in connection with this agreement and the matters or transactions contemplated herein are to be paid by the party incurring such costs and expenses. If this Contract is terminated, the obligation of each party to pay its own costs and expenses will be subject to any rights of such party arising from a breach of this Contract by the other party or parties.

17. CONTINUING OBLIGATIONS The provisions of Clauses 4, 6, 8, 9, 10, 11, 12, 13 and subclauses 16(a), (b), (c) and (i) shall

survive the termination of this Contract. 18. SCENT FREE POLICY

The Contractor agrees that any employees subcontractors or agents who attend the Board will respect the Board’s scent free office environment.

19. ENTIRETY OF AGREEMENT This Contract constitutes the entire agreement and supersedes all prior agreements, understandings, negotiations and discussions relating to the subject matter thereof, whether oral or written. There are no representations, warranties, covenants, conditions or other

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agreements, express or implied, collateral, statutory or otherwise, between the parties relating to the subject matter hereof except as specifically set forth in this agreement. Neither party has relied or is relying on any other information, discussions or understandings in entering into this agreement.

IN WITNESS WHEREOF, the parties hereto have executed this Contract as of the Effective Date. Canada-Newfoundland and Labrador Offshore Petroleum Board _____________________________ _____________________________

CONTRACTOR __________________________

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SCHEDULES

Schedule "A" - Scope of Work

Schedule “B” – Time of Performance

Schedule "C" - Compensation

request for proposals - cnlopb.ca · 6.0 contents of a proposal .....8 7.0 evaluation methodology...

Documents